Labor 'villain' thanked for mine expansion

The South Australian government has acknowledged a former Labor villain from the 1980s for helping bring about the $30 billion expansion of the Olympic Dam mine.

The indenture bill for the expanded uranium and copper project in the state's north passed both houses of parliament this week, giving the BHP Billiton board 12 months to sign off on the deal.

Mineral Resources Minister Tom Koutsantonis told state parliament on Thursday many people had worked hard on the negotiations with the mining giant including former premier Mike Rann, former treasurer Kevin Foley and former mineral resources minister Paul Holloway.

But he said he also wanted to acknowledge controversial Labor figure Norm Foster for his decision in 1982 which ultimately made the expansion possible.

It was Mr Foster, then a Labor MP in the state's upper house, who resigned from the party and crossed the floor to pass the original indenture bill to first establish the existing mine more than 25 years ago.

It was a key decision in SA's mining history and went against Labor's longstanding policy to oppose uranium mining.

Mr Foster continued to sit in parliament as an independent but lost his seat at the next election.

The former dock worker died in 2006 but not before his Labor Party membership had been restored.

Mr Koutsantonis said the expanded Olympic Dam copper and uranium mine would be a truly transformational project.

"I know that future generations of this state will look back on this time as the time South Australia changed forever," he said.

"As the world's largest open cut mine, the fourth largest copper resource, the fourth largest gold resource and by far the largest known uranium resource, this project provides an unparalleled opportunity to unlock unprecedented economic prosperity for this state."

The expanded mine is expected to generate up to 6000 new jobs during the 11-year construction phase and a further 4000 operational jobs.

Annual copper production is forecast to more than triple to about 750,000 tonnes and uranium oxide production will jump to 19,000 tonnes.

The project is also tipped to create 15,000 indirect jobs in flow-on industries and services.